Press Release

Global Organic Beverages Market to Grow with a CAGR of 11.9% through 2028

The Organic Beverages market has experienced rapid growth driven by a variety of factors such as increasing consumer demand for healthier, environmentally sustainable drink options.

 

According to the TechSci Research report, “Organic Beverages Market – Global Industry Size, Share, Trends, Competition, Opportunity, and Forecast, 2018-2028F”, the Global Organic Beverages market stood at USD21.32 billion in 2022 and is anticipated to grow with a CAGR of 11.9% in the forecast period, 2024-2028. The global organic beverages market is experiencing remarkable growth and transformation, reflecting changing consumer preferences, heightened health consciousness, and a growing emphasis on sustainability. As consumers seek healthier and more environmentally responsible beverage options, the organic beverages sector has evolved significantly.

The origins of the organic beverages market can be traced back to the mid-20th century when the organic farming movement gained momentum. Concerns about the adverse effects of conventional farming practices, such as pesticide residues and the use of synthetic chemicals, led to a growing interest in organic agriculture. Organic beverages emerged as a niche market that appealed to consumers seeking healthier, more environmentally friendly options.

Over the years, organic farming practices expanded, and regulatory standards were developed to ensure the authenticity and integrity of organic products, including beverages. Organizations like the United States Department of Agriculture (USDA) and the European Union's organic certification bodies established guidelines for organic beverage production, covering aspects such as sourcing of organic ingredients, processing methods, and labeling. These standards provided consumers with assurance about the quality and authenticity of organic beverages.

 

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Rising health consciousness and concerns about the potential health risks associated with conventional beverages have been pivotal in driving the global organic beverages market. Consumers are increasingly seeking beverages that are perceived as healthier and less likely to contain synthetic pesticides, artificial additives, or excessive sugar.

Growing awareness of the environmental impact of conventional farming and beverage production practices has led consumers to favor organic beverages. Organic farming methods prioritize sustainability, including reduced chemical usage, responsible water management, and soil health. This aligns with consumers' growing environmental concerns.

Ethical considerations regarding fair trade, sustainable sourcing, and the treatment of farmers and workers in the supply chain play a role in consumer choices. Brands that emphasize ethical sourcing practices have gained favor among conscious consumers.

The integrity of organic beverages is ensured through rigorous regulatory standards and certification processes. Organizations like USDA Organic, COSMOS Organic, and Fair Trade provide guidelines and certifications that instill consumer trust in the quality and authenticity of organic beverages.

The global organic beverages market has witnessed innovation in flavor profiles and ingredient choices. Manufacturers are exploring unique ingredients, exotic flavors, and functional additives to create distinct and appealing organic beverages.

Organic beverage production often incurs higher costs compared to conventional methods due to expenses associated with organic farming practices, sustainable sourcing, and reduced economies of scale. These higher production costs can result in premium pricing for organic beverages, which may deter price-sensitive consumers.

The supply chain for organic beverages can be more complex and regionally dispersed compared to conventional beverages. Coordinating organic ingredient sourcing, production, and distribution while maintaining organic integrity presents logistical challenges. Despite the growing popularity of organic beverages, there is a need for continuous consumer education to justify the premium pricing and communicate the health and environmental benefits of choosing organic options.

The global organic beverages market is segmented based on type, sales channel, and region. Based on the type, the market is segmented into organic coffee & tea, organic dairy alternatives, organic soft drinks, organic alcohol beverages & others. Among these, the organic dairy alternatives segment has a significant share in the global organic beverages market during the forecast period. A significant driver behind the success of the organic dairy alternatives segment is the global shift towards plant-based diets. Consumers are increasingly adopting vegan and vegetarian lifestyles or reducing their consumption of animal-based products for various reasons, including health, ethical concerns, and environmental sustainability.  

Based on region, the market is segmented into North America, Europe, Asia Pacific, Middle East & Africa, and South America. Among these, the North America region has a significant share of the global organic beverages market during the forecast period. North America, particularly the United States and Canada, has experienced a notable shift in consumer preferences towards healthier and more environmentally responsible choices. Consumers are increasingly seeking organic beverages that align with their values, which include a desire for products produced without synthetic pesticides, hormones, or antibiotics.

 

Major companies operating in the global organic beverages market are:

  • Anheuser-Busch InBev
  • Nestle SA
  • PepsiCo Inc.
  • Danone SA (Horizon Organic)
  • Parkers Organic Juices
  • Boncafe International Pte. Ltd.
  • Hain Celestial
  • Bison Organic Beer
  • Belvoir Fruit Farms Ltd.
  • The Whitewave Foods Company 

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“The global organic beverages market is experiencing substantial growth as consumer preferences shift towards healthier, more sustainable, and ethically produced drink options. This market encompasses a wide range of products, including organic fruit juices, herbal teas, plant-based milk alternatives, organic energy drinks, and more. Key drivers of this growth include heightened health consciousness, environmental concerns, and a preference for organic, pesticide-free ingredients. The demand for organic beverages is further fueled by consumer awareness of the potential health benefits and the desire to reduce exposure to synthetic chemicals, hormones, and antibiotics commonly found in conventional drinks. Regulatory support and certification processes, such as USDA Organic and EU Organic, provide transparency and assurance of organic product quality. As consumers continue to prioritize wellness and sustainability, the global organic beverages market is poised for continued expansion and innovation.” said Mr. Karan Chechi, Research Director with TechSci Research, a research-based global management consulting firm.

“Organic Beverages Market  – Global Industry Size, Share, Trends Opportunity, and Forecast, By Type (Organic Coffee & Tea, Organic Dairy Alternatives, Organic Soft Drinks, Organic Alcohol Beverages & Others), By Sales Channel (Supermarkets/Hypermarkets, Specialty Stores, Online, Others), By Region, By Competition Forecast & Opportunities, 2018-2028F, has evaluated the future growth potential of the organic beverages market globally and provides statistics and information on market structure, size, share, and future growth. The report provides cutting-edge market intelligence and helps decision-makers to make sound investment decisions. Besides, the report also identifies the emerging trends along with essential drivers, challenges, and opportunities present in the market of organic beverages globally.

 

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